Nokia’s $7.1 billion deal with Microsoft has finally been completed, despite numerous setbacks and delays.
The deal will turn Microsoft into world’s second-largest phone maker. It also means we’ll never see a Nokia smartphone again.
Nokia,however, will remain alive as a separate company, with board members and extremely limited work force. Nokia will continue to retain its brand name.
Meanwhile, Microsoft has acquired the rights to the Asha, Lumia and Nokia X brand names. Instead of Nokia, it plans on using the “Microsoft Mobile” name on all the alliance’s future devices, however, how much success will it be remains to be seen.
The head of the new alliance will be the last Nokia CEO, Stephen Elop.
25,000 Nokia employees will be moving over to Microsoft as a part of this deal. With the phone division now gone, Nokia will solely focus on its HERE mapping service, Solutions and Network (NSN) and Advanced Technologies.
The root causes behind the delaying of the deal, i.e. the company’s assembling plants in India and South Korea are not the part of the deal.
The fate of current Nokia devices remains to be seen, though. While Lumia series’ future is seemingly secure, what Microsoft will do with the X Series will be interesting to see. Also, the company’s own Surface line-up’s future will be an interesting to see. It is definitely taking hardware more seriously now than before, and is not just limited to Xbox now.
The company’s approach is now giving it a better reach in the market but might eventually scare its partners. Remember, Microsoft is now the maker of 90 percent Windows Phones worldwide. Not many companies have succeeded this way, though. Google, for instance, failed miserably with Motorola.
Anyhow, the mobile phone industry will never be the same without Nokia. This was a company whom we all felt nearer to than all others. We will never feel as personal about a brick again. Do I need to remind you which company made your first phone?
Still, life goes on.